The current ratio is a liquidity ratio that measures a company’s ability to pay short-term obligations or those due within one year. It tells investors and analysts how a company can maximize ...

In cell B5, input the formula "=B3/B4" to divide ... health and well-being. A good current ratio is typically over 1. A ratio of one indicates there is just enough money to cover these debts ...

The current ratio is calculated by dividing a company's current assets by its current liabilities. Ratios of 1 or higher indicate short-term solvency. Because the current ratio compares short-term ...